Decorative Paints – Overview

• Revenue up 4 percent versus last year driven by favorable price/mix
• Weaker volume development in most regions
• EBITDA 16 percent behind last year, reflecting lower volumes and higher costs
• Restructuring underway in Europe and North America

The Decorative Paints business achieved a revenue increase of 4 percent in the first quarter, primarily driven by margin management in weak markets. Lower volumes impacted EBITDA, particularly in North America which benefited last year from a one-time positive customer load-in. Restructuring and cost reduction actions are underway in Europe and North America to offset weaker demand.

Revenue development Q1 2012